Home Buying Info
home buying

The source, amount, and repayment terms of home loans must be disclosed in the mortgage application and the borrower must acknowledge that he or she understands and agrees to those terms. If the secondary financing includes restrictions on transferability under the new rule, such as occupancy requirements or resale restrictions, those requirements must comply with the new rule (as discussed below). Permitted restrictions may be enforced by requiring repayment of the secondary financing. The secondary financing itself is not a restriction under the rule merely because it is due on sale of the home.